Research institution approval under section 35(1)(ii) requires separate research accounts and annual audited returns to authority. Approval under section 35(1)(ii) was accorded to Dr. Ramazini Research Institute as an Association, effective 1-4-1984 to 31-3-1986, subject to maintaining a separate account for scientific research, filing annual returns of research activities by 30 April, and submitting audited annual accounts and balance sheet to the prescribed authority by 30 June with copies to the concerned Commissioner of Income-tax.